BTC started 2021 on a strong note, but its momentum stalled a bit this month, March.

According to some crypto market analysts, this trend is likely to reverse by April.

Historically, Bitcoin has performed well since its inception in April, with the exception of two occasions, where the cryptocurrency failed to make gains.

stated Mr. Danny Scott, CEO of CoinCorner, said:

There have only been two negative April months since bitcoin launched, in April 2014 bitcoin dropped -6% and April 2015 -4%

So there may be some momentum coming.

April coincides with the UK and US tax year, which is an important factor, as Bitcoin has historically performed well during these time periods.

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Scott commented on this by saying:

There could be an important factor influencing Bitcoin in April, perhaps because it is the end of the tax year in the UK and the US.

According to an analysis of price data over the past 10 years, bitcoin gained an average of 51% in the month of April.

If it materializes in the next month, that means Bitcoin could expire in April 2021 with prices increasing to nearly $80,000.

What could lead to a bitcoin price increase in the next month?

Scott answers this question by saying:

What could lead to a Bitcoin price increase in the next month is that market sentiment is currently very bullish for cryptocurrencies.

This is given the institutional appetite for the crypto arena from Tesla, Twitter and the many institutions around the world that support Bitcoin.

He added:

At the moment we are in an uptrend with steady momentum building every week.

US stimulus checks and bitcoin investments:

In addition, with the start of the third round of pumping stimulus checks to provide relief from the Corona virus to the citizens of the United States, the price of Bitcoin is likely to rise.

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Previously, many Americans were reported to have put part of their stimulus checks into buying bitcoin, in an effort to hedge against inflation and secure their fortunes.

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This trend is expected to repeat itself for the third round of stimulus checks, where eligible Americans will receive checks worth $1,400 as part of Joe Biden’s $1.9 trillion stimulus package.

Robert Gutman, CEO of New York Digital Investment Group (NYDIG), revealed that state-owned investment funds were also looking at investing in bitcoin.

As retail and institutional investors are turning their eyes to Bitcoin, the market sentiment around the cryptocurrency remains positive, and many are expecting BTC to go higher.

Currently, Bitcoin is trading at around $56,169 according to CoinMarketCap.

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